Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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indeed.. ..helps in the rat infested trenches; squelching thru mud; and dodging the bombs/bullets
imv.. ..schadenfreude is not just unattractive, but also excellent indicator that you lack inner peace ..delight in others' successes (and learn from those that aren't just random/lucky), and empathise with (and learn from) their frequent mistakes
wrong day wrong post .....should of been yesterday
Tks, Spike..good post Grateful for any feedback from AGM
Jolly - I think some sort of facility like this might be likely and while they are not great, in this case it might not be the worst option. I think as soon as the financing is raised, there is going to be some sort of relief rally in the market that it is place - just as long as that financing is not the entire amount upfront by issuing hundreds of millions of new shares at a discount to todays price - I think that is currently the markets fear. A facility where they can draw down only the amount when needed, so there is no large upfront dilution would not be the worst option. AIM shares where financing is obviously required, always become vicious circles - financing is needed so the SP drops, which makes financing more dilutive which pushes the prices down further and so on. It does also work the other way though and if the financing looks like it will be less dilutive overall than the market fears, then the SP climbs and so it is even less dilutive and so on. What would be best - short of conventional financing - will be if they get a financing facility that gives the option to repay either in cash or by converting at some point in the future. It seems that only short term financing is needed to see through to the launch of ATNi and hopefully the ongoing progress of Televisa. One interesting thing to note is that the nominal value of the share is 1p, which is where the current market price is. They cannot issue shares below nominal value so would have to call a general meeting and conduct a share split - that nothing has been aligned with the AGM that has now been called is a positive sign. A slight fly in the ointment currently, is that the peso, having climbed significantly and returned to where it was pre-Trump, is currently weakening again as the NAFTA talks are making people nervous. It is still nowhere near the depths it reach (currenty 18.7 per USD, having dipped to 22 per USD after Trump), but it is increasing uncertainty in Mexico again. I'll be at the AGM on 30th.
possible, but perhaps more likely one of those horrid equity facilities that are so widespread on AIM?
you think the placing coming ?....look like this will go sub1
all will be soon?
Hi camkite hope all well ..I've lost several hundred pounds here..I like what little I understand of Mira's market position and management...but the probable need for more WC keeps me on sidelines I hope to join the fun with some serious dosh in the not too distant Good luck & go well
Are we Chinese or Japanese
I'm not English
let me know when you load up.
Last year on revenue of around �6.5million, the company went through around an additional �2.0million in working capital, financed partly by additional debt and partly by pulling forward cash for services (Televisa seem to have paid upfront for some services to be provided in this financial year). Revenue might be higher this year based upon any set up fees from the new contracts and hopefully an acceleration of Televisa rollout, however it is likely to be back loaded to the end of the year so I expect the company needs around �1.5-2million in additional financing to see it through to the deployment of ATNi and then hopefully the business becomes cash generative. The CEO has stated debt is the preferred option and given negotiations are at advanced stages it does lead me to think debt will form the bulk of it, however I certainly wouldn't rule out an equity component. I would be surprised if it can all be financed through traditional unsecured debt, however a convertible option or even a SEDA type facility could well work quite well at this stage, as effectively the SP is priced almost for the company to fail and will move quickly if it moves to be cash generative this will move very quickly in which case any financing which converts in future will not be so dilutive. At the moment I think the market is nervous that 150million+ shares will enter the market to raise the required financing. If the financing is secured without that happening I expect 1p will be the bottom and this will start to move up.
I can't understand why an English man would write in his own language and people can not digest what his intentions are! Be straight forward with your writing
interesting discussion All need to Do Their Own Research and not rely on any of us anon posters: his is a tricky play (as is case across most of these tiddlers) Without paying much attention here (so relying on quick skim of results and spike's insight) the (possible) need for some sort of risk finance hovers (why would lenders take much risk beyond rock solid invoice discounting?)..so isn't market waiting for clarity on this funding? unless better terms (earlier invoicing and/or higher front end fee??) available from clients I would love to load up, but don't have the guts..yet
quiet?
The company have been fairly open about the Televisa contract - it was always $3-5 per box (dependent on spec of the box) as a one off fee and the number of subscribers Televisa have is public, although the boxes per subscribers isn't. Initially Mirada were talking about it being a $15million contract, but as Televisa acquired further networks this amount was increased. What the company don't know with Televisa, is how quickly it will be rolled across the existing base and to what extent - will eventually all boxes be on Iris, or will 10%+ remain on legacy. Currently roll out is slower than anticipated - for last year the broker was forecasting a roll out of 100k boxes per month, where as in reality due to uncertainty in Mexico and Televisa taking a cautious approach it has been around 30k. I expect there is a lot more sensitivity around the new contracts, as it is recurring rather than one off and there are in negotiations with several different companies. I expect the contracts are also each fairly bespoke as well, depending on the amount of set up costs, level of support, scale etc etc.
Camkite, Any significant invoices for these new contracts are unlikely to start flowing for several months as the set up needs to be done and the ongoing costs for running the business - around �500-600k per month still needs to be financed. The company has both invoice discounting facilties - but there will be limited invoices - and unsecured bank lines which appear to be more or less at capacity. Funding is mission critical - the company have been very open about that due to the work needed before the new contacts result in material revenues. My hope is that the new contracts allow access to more unsecured funding, but I expect at best we are looking at convertible loans or equity drawdown facilities, although there could well be a straight placing required as well. Its difficult to say what the order book is - the Televisa contract is structured as fees per box and Televisa still have around 7million legacy boxes in the market, so in theory that is around $28million of revenues, but what portion of that will be realised and over what timeframe is difficult to say. Based upon the limited information released it does seem the new contracts are also on fee per device basis, however rather than a one off, it is a recurring fee and there seem to be minimum thresholds in place so revenue is guaranteed - again as they rely on the partner being successful in selling the solution it is difficult to put figures on order books. Clearly though visibility around future revenues is going to increase. I've been invested for some time, have been at the last two AGMs and intend to be there this year. I hope this is a turning point and it is very positive as clearly the company and solution have wider market recognition, but the current finances remain stretched and until the funding is sorted and there is regular cash generation, its likely the SP will remain somewhat depressed.
thanks guys, GL with this one
Camkite, To put it directly, without wishing to be rude, you don't really know what you are talking about. Invoice discounting facilities are for invoices and not order books - an invoice is only issued when a service or good has been delivered and accepted by the buyer. For buyers of the high quality that Mirada deals with, the discount will likely be only around 1%, although probably only 90% of the invoice is advanced to the company. You can see the open invoices Mirada has by looking at receivables in the annual report, unless any of the financing is done off balance sheet which I don't think it is. The company have twice stated in recent weeks they need finance. The contract wins are great news, but they are working capital intensive and the company needs to finance the upfront work before revenues arrive and the company have indicated they will require new sources which should be announced shortly - hopefully none of it is equity but I think this will be tough, as does the market which is why this remains below 2p
:(
You can have more than one ISA but only contribute to one in a tax year. You can transfer providers. assuming you want to keep shares held you ask for an in specie transfer so that they do not have to be sold and rebought. NNot all providers will do this. make sure first!
interestinnnnnnnnnng, I have a regular acc with them (yes they are very good) but I have an ISA with AJ Bell. so is it possible to transfer my regular IG to an IG ISA as well as to have the AJ ISA if I keep under the 20k limit between them? or do I have to choose one of the accounts and move it all there? thanks for any advice
Do IG do a stocks and shares ISA?
With iweb. They will let me buy but not sell anything. Not even 500 quids worth. Strange.